The most direct way: sell the gift card for cash

You cannot transfer a gift card balance directly into a bank account the way you would move money between two bank accounts. A gift card is a stored value on a retailer's system, not money in a bank. To get cash, you need to convert the card first — usually by selling it to someone else or to a reseller.

The fastest route is a gift card reseller website. These sites buy unused gift cards from people and resell them. You list your card, a buyer purchases it, and the reseller sends you cash via bank transfer, PayPal, or a check. The amount you receive is usually 70 to 92 percent of the card's face value, depending on the retailer and current demand.

Common reseller platforms include Raise, CardCash, and Decluttr. Each has slightly different fees, payout speeds, and which retailers they accept. Some require you to enter the card number and PIN on their website; others ask you to mail the physical card. Check the site's terms before you start, because once you've given them the card information, you cannot get it back if you change your mind.

Key Takeaways

  • Gift card reseller websites buy your unused card and pay you 70 to 92 percent of its face value, usually within a few business days.
  • You will receive less than the full amount because resellers take a cut and assume some risk that the card is already used or invalid.
  • Some resellers require you to enter the card number online; others ask you to mail the physical card, which takes longer but may feel safer.
  • If the gift card is from a small local business, you may have better luck selling it to a friend or family member than to a national reseller.

What happens when you sell through a reseller

The process is the same across most platforms. You create an account, enter the gift card details (or mail the card), and the site checks that the balance is real and the card is not already used. This verification usually takes one to three business days. Once approved, the reseller lists your card for sale to other customers.

You do not have to wait for someone to buy it before you get paid — most resellers pay you when ready after they verify the card is valid, whether or not it has sold yet. The payment goes to your bank account via ACH transfer, to PayPal, or sometimes as a check. ACH transfers usually arrive within three to five business days.

The percentage you receive depends on demand. A popular retailer like Target or Amazon might fetch 85 to 92 percent of face value. A niche store or a card with a small balance might be worth only 70 to 80 percent. The reseller shows you the offer before you accept, so you can see exactly what you will receive.

When to mail the card instead of entering it online

Some people prefer not to type their gift card number into a website, even a legitimate one. If that is your concern, look for resellers that accept mailed cards. You photograph the card or write down the number, mail the physical card to the reseller's address, and they verify it in person before paying you.

Mailing takes longer — usually one to two weeks for the card to arrive, plus a few more days for verification and payment. But if you are uncomfortable sharing the card number online, this route removes that worry. Keep the tracking number from your mail receipt in case the card gets lost in transit.

Do not mail a card to a reseller unless you have confirmed their mailing address on their official website. Scammers sometimes pose as resellers and ask people to mail cards to fake addresses.

Using the gift card to buy something, then returning it for cash

Some retailers will let you buy a product with a gift card and then return it for cash or a store credit refund. This works only if the retailer has a return policy that allows it — many do not. Call the store or check their website before you try this, because attempting a return without a receipt or with a gift card can be complicated.

Even when it is allowed, this method has drawbacks. You have to find something to buy, complete the purchase, and then return it. If the store is far away or you do not want to spend the time, a reseller is simpler. Also, some stores will only refund to the original payment method, which means the money goes back to the gift card, not to your bank account.

This option works best if you actually want something the retailer sells and the gift card covers most or all of the cost. In that case, you are not converting the card for cash — you are just using it as intended.

Gift cards that are harder to convert

Not all gift cards are equally straightforward to sell. National retailers like Walmart, Best Buy, and Starbucks are in high demand and resell quickly at good rates. Smaller local businesses, restaurants, or niche stores may not have a market on reseller sites, or the reseller may offer a much lower percentage.

Some resellers do not accept certain types of cards at all — for example, cards that are already partially used, cards with very small balances (under $5 or $10), or cards from restaurants that have closed. Check the reseller's list of accepted retailers before you spend time entering your card information.

If a major reseller will not take your card, try a different platform. Raise and CardCash have different inventories and acceptance policies. If no reseller will take it, selling it to a friend or family member — even at a discount — may be your only option.

What to watch out for

Never send a gift card to someone who contacts you first claiming to be a reseller. Legitimate resellers have websites you find yourself; they do not cold-contact people. If someone emails or texts asking you to mail them a gift card, it is a scam.

Be cautious of reseller sites that ask for personal information beyond what is needed to verify the card and send payment. You should not have to provide your Social Security number, driver's license, or detailed financial history just to sell a gift card. If a site asks for these, look elsewhere.

Once you have given a reseller your card number, assume that card is no longer yours. Do not try to use it elsewhere or give it to someone else. The reseller owns it now, and using it could create a dispute.

Frequently Asked Questions

Do I have to pay taxes on the money I get from selling a gift card?

Probably not. You are selling an asset you already own at a loss (since you receive less than face value), which is generally not a taxable event. If you somehow sold a gift card for more than you paid for it, that might be taxable income, but that is rare. When in doubt, ask a tax professional, but most people do not report gift card sales.

What if the reseller says the card balance is zero or invalid?

This means the card has already been used, is damaged, or the number was entered incorrectly. If you know the card has a balance, contact the reseller's customer service with your receipt or proof of purchase. If the card was a gift and you never used it, contact the person who gave it to you — they may have the original receipt or be able to contact the retailer to investigate.

How long does it take to get the money in my bank account?

Most resellers verify the card within one to three business days and pay you when ready after. The payment itself (via ACH transfer) usually takes three to five more business days to show up in your account. If you choose to mail the card instead, add one to two weeks for shipping and in-person verification. PayPal transfers are sometimes faster than bank transfers.

Can I sell a partially used gift card?

Some resellers accept partially used cards, but most do not. The reseller needs to verify the remaining balance, and there is more risk that the card will be declined or have a different balance than expected. Check the reseller's policy before you try. If they will not take it, you can still use the remaining balance yourself or try selling it to a friend who knows the balance.

What if I have multiple gift cards from the same retailer?

You can sell them all to the same reseller, either in one transaction or separately. Some resellers offer slightly better rates if you sell multiple cards at once, so it is worth asking. You can also split them across different resellers if you want to compare offers or spread out the sales.